Investing.com – Since the middle of July, the cryptocurrency has risen from $ 1.02 to a peak of over $ 2.25, thus rallying the crypto markets amazingly. The daily chart of the fourth most important cryptocurrency in terms of market capitalization now signals that it could run out of air in the short term. We already pointed this out in yesterday’s Cardano article with the title “”.
We fixed this on the extremely overheated indicator levels, which literally screamed for a correction in the course of the. Not only has the RSI scratched its all-time high, no, the MACD histogram has already shown declining momentum.
Additionally, the Cardano rally stalled at exactly the 78.60% Fibonacci retracement of the entire downward momentum from May to June at $ 2.165. Two day candles with distinctive wicks were recently formed in this area, which was also to be interpreted as a warning signal.
Overall, the picture for the Cardano remains clearly bullish, but in the short term ADA investors should deal with brands on the underside that could serve as support. An initial correction target is now setting the former breakout level at 1.95 / 1.96 dollars before the 10-day line comes back into play at 1.88 dollars.
If, on the other hand, the Cardano price catches up again and conquers the resistance from the 5-day line as well as the above-mentioned 78.60% Fibonacci retracement in the area around 2.13 / 2.165 dollars, there would be rally potential again to the high of March 17th May at $ 2,322. This price mark is also a transition point for a move to the record high of $ 2.463 and beyond.
A notice: This article does not constitute investment advice or a solicitation to buy or sell any assets. Nor does the article purport to predict the development of the Cardano price. It is only a subsequent comment on the ADA development, the Cardano investors about the latest crypto news and the technical starting position of the ADA / USD should inform.
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